Midas Funds

Fund Strategies and Market Commentaries
As of March 14, 2016

Midas Magic seeks its investment objective of capital appreciation by focusing primarily on large companies, with a broad orientation towards conservatively priced value stocks with a few selected growth issues.  The Fund seeks portfolio companies with strong operations showing superior returns on equity and assets.    The Fund’s portfolio is weighted towards financial services and consumer cyclical companies, and is underweight energy, industrials, and consumer defensive stocks.  Portfolio holdings of Michael Kors Holdings Ltd. and Iconix Brand Group Inc. have recently added to the Fund’s returns, offset to some extent by declines in its holdings of financial services companies.  The Fund has increased its leverage to take a more aggressive posture, but may reduce leverage subject to market conditions.

Midas Fund's strategy is to seek investments in higher quality senior and intermediate producers of precious metals and other natural resources with a growth component.  The gold price has risen from roughly $1,070 to nearly $1,270 per ounce so far during 2016, and the Fund’s portfolio has kept pace with this increase.  The Fund’s holdings of Platinum Group Metals Ltd. and Resolute Mining Ltd. have led performance in the portfolio recently, while holdings of a commodity producer and a gold royalty company have underperformed.  The Fund is moderately leveraged and may seek a more defensive posture should the gold market appear to be re-trenching.

Midas Perpetual Portfolio uses a core “asset allocation” strategy to seek its investment objective to preserve and increase the purchasing power value of its shares over the long term.  The Fund’s asset allocations and target percentage ranges are gold (10-30%); silver (0-20%); Swiss franc assets (10-30%); hard asset securities (15-35%); and large capitalization growth stocks (15-35%). In the recent period, the Fund has benefited from its allocations to gold and silver. The Fund’s holdings of large capitalization growth stocks include a variety of industries, including pharmaceutical preparations company Merck & Co., Inc. and retailer Wal-Mart Stores Inc.

Cautionary Note Regarding Forward Looking Statements

This release may contain certain “forward looking statements” as defined under the U.S. federal securities laws. Generally, the words “believe,” “expect,” “intend,” “estimate,” “anticipate,” “project,” “will,” and similar expressions identify forward looking statements, which generally are not historical in nature. Forward looking statements are subject to certain risks and uncertainties that could cause actual results to materially differ from a Fund’s historical experience and its current expectations or projections indicated in any forward looking statements. These risks include, but are not limited to, equity securities risk, corporate bonds risk, credit risk, interest rate risk, leverage and borrowing risk, additional risks of certain securities in which a Fund invests, management risk, and other risks discussed in each Fund’s filings with the Securities and Exchange Commission. You should not place undue reliance on forward looking statements, which speak only as of the date they are made. Each Fund undertakes no obligation to update or revise any forward looking statements made herein. There is no assurance that each Fund’s investment objectives will be attained.